[金融学原理英文版.docVIP

CH7 1 A Current ratio=3.8 times DSO=41.1 days Inventory turnover ratio=5.5 times Fixed assets turnover ratio=4times Debt ratio=48.1% Net profit margin on sales=4.1% ROA=7.7% Note that we didn’t use average amount for stock variables B Bad profitability: low ROA Total asset turnover is poor.(1.86 times, while industry average=9.9/4.6=2.15 times) Low inventory turnover ratio High DSO C Every ratio we calculated except Fixed asset turnover was worse in 2007. 2 A Current ratio: 1.98 times DSO: 75.24 days Inventory turnover ratio: 5.6times Total assets turnover 1.7times Net profit margin: 1.7% ROA